With the product supply constraints looking set to continue into next year, what can retailers and webstores expect from this year’s Black Friday and winter holiday season? We spoke to some of the people closest to the situation at TD SYNNEX about what we can hope for this year.
We have been and will continue to encourage all our partners to plan early and buy into the available inventory whenever they can
It’s the season when most consumers splash out on tech products. The period that now starts with Black Friday in late November (this year it’s Friday 26 November) and runs over the Christmas holiday period into the New Year sales, is the time when most consumer-focused channel companies do most of their business.
But with the product constraints, is this ever going to happen? Yes, says Ross Turner, retail and peripherals director at TD SYNNEX. ‘We see a cracking festive period ahead, with the continued supply shortages we have seen throughout 2021 we expect high demand across PC, gaming, VR, consumer electronics and mobile.
‘Yes, of course, the stock constraints and supply chains issues have been the theme for a while and that will continue to present challenges. Vendors are doing their best though and we can expect to have some product supply over the period. We have been and will continue to encourage all our partners to plan early and buy into the available inventory whenever they can.’
Mixed picture
There will definitely be stock of some product lines. Harry Ellis, business manager – mixed and virtual reality at TD SYNNEX has positive expectations for the top-selling Oculus range. ‘Facebook have massive investment in Quest 2 with strong supply planned to support. There are also new Portal devices [Portal Go and Portal Plus) which do well at this time of year.’
Stock of smart home and mainstream consumer products is also expected to arrive in plenty of time. In particular, TD SYNNEX expects a strong start for two new additions to its portfolio – Bosch Smart Home and TCL, said Brad Nicholson, smart home business development manager at TD SYNNEX.
‘We are just launching Bosch Smart Home into the UK market and we are actively looking for retailer engagement. This is a great time of year to promote smart tech products – they always do well through calendar Q4 – and Bosch is a trusted, household name, so we expect that to go really well. We’re keen to hear from retailers, webstores – and even specialist DIY outlets – who see an opportunity with Bosch Smart Home.
Good timing
Another new vendor signing – and one that’s very timely is that of Chinese smart TV maker, TCL. Already one of the world’s largest TV vendors, the company’s range stretches from entry-level LCDs, up to high-end QLED screens. ‘They are premium products with an affordable price tag, and we are looking to do some fantastic offers over the next few weeks and that’s another great opportunity for any retailers or e-tailers.’
But let’s be realistic; there are going to be supply issues with a lot of vendors and product lines – as there have been for some time now. Inventory will be at a premium and prices will be inflated as a result. That’s not just down to supply and demand though – higher costs of freight, components, and people, will inevitably be passed through the supply chain. And this is likely to be the case well into 2022 as well, so the message about looking as far ahead and buying as far ahead as possible, is going to hold in the new year as well.
Positive outlook
So, if the picture is not looking too bad for the season as a whole, what about Black Friday? Here too, the team believe there are reasons to be positive– but that we should not expect too much in the way of amazing, low-priced deals.
With the high demand and inconsistent supply, we don’t expect to see the huge discounts of previous years
Brad Nicholson stated: ‘Yes, there will be some deals around, but I would not expect to see as many deals as we might have in past years.’
Ross Turner agreed: ‘With the high demand and inconsistent supply, we don’t expect to see the huge discounts of previous years. However, I’m sure some retailers have some surprises up their sleeves.’
What we can expect then it seems, for Black Friday and throughout the season, is a smattering of deals (but fewer real bargains), with some vendors better able to meet the peak in demand than others. In all probability, not everyone will get all the stock they want, so the recommendation to order early while there is any availability, and engage as much as possible on your requirements, is good advice. The silver lining for partners, is that prices (and margins) will stay high.
Read more of our latest stories
